Laguna Beach is Slowest O.C. Market

Despite what seemed like a good run at the start of the year, Laguna Beach is again the slowest-moving market in Orange County real estate, according to a biweekly report from broker Steven Thomas of Altera Real Estate.

The city’s market time—the time it takes to sell a home—went up from 11.07 months two weeks ago to 12.34 months this week. This means that it now takes more than a year to sell a home in Laguna Beach, whereas the “ideal” rate is about five to six months.

The rise has been somewhat gradual, having moved up from 9.14 months four weeks ago. However, experts are unsure why buyer activity has slowed down again, as they had expected market times to go the opposite way at least for the next quarter.

The figures are nonetheless encouraging considering the market times recorded this time in the last two years. In March 2008, Laguna Beach homes 17.29 months to sell; the same period in 2009, the average home spent a sluggish 29.69 months in the market.

Experts continue to point to the city’s high average prices as the main reason for the market slowdown. Whereas the countywide median is an already above-average $460,000, the typical Laguna Beach home has an asking price of about $3.6 million.

Thomas also noted that the market for homes below $1 million—around 78% of the county’s inventory—is gaining ground, with its market time of 2.23 months indicating a deep seller’s market. For luxury homes, however, the market is more buyer-friendly with an average time of 8.99 months.

 

Earlier in Laguna Beach Real Estate News:
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More Luxury Homes Hit Laguna Beach Real Estate Market
Oldest House In Laguna Beach To Be Rehabbed